Somalia and Germany sign $19 Million agreement to boost economy and business sectors

Somalia and Germany sign $19 Million agreement to boost economy and business sectors

Thursday April 13, 2023

Mogadishu (HOL) - The Somali and German governments have entered into a financial agreement valued at $19 million to revitalize Somalia’s economy and business sectors. The deal, which has been under negotiation for nearly two years, was officially signed in Mogadishu by Gargara, a division of the Somali Ministry of Finance that supports commerce and banking, and the German Development Bank (KFW).

This investment is part of a broader initiative to stabilize Somalia’s economy, which has faced numerous challenges due to political instability, terrorism, and poverty. The funds will be allocated to various production sectors within the country, including agriculture, livestock, fisheries, energy, tourism, healthcare, education, and youth development.

High-ranking officials from the relevant ministries, aid organizations, Somali banks, and the German Embassy in Somalia attended the signing ceremony. Suleiman Abdi Duale, the chairman of Gargara, expressed his gratitude to the German government and its citizens for their support of the Somali community. Allena Kern, the Head of Development and Cooperation at the German Embassy in Somalia, conveyed her confidence in Gargara’s assistance to private businesses and pledged her full support.

Germany is one of several donor countries assisting the Somali government in aid, development, health, education, and security. This agreement is anticipated to fortify the ties between the two nations and contribute to Somalia’s long-term stability and economic growth.

In recent years, Somalia has been striving to recover from decades of conflict and instability.